Limited Risk
● All of the Chuck Hughes GPS Strategies use ‘limited risk’ leverage. This means that the most you can lose is your initial investment. Regardless of adverse market moves you can’t lose more than your initial investment. The Chuck Hughes MVP, the Chuck Hughes Advisory and the Chuck Hughes Wealth Creation Alliance all like to recommend limited risk investments.
● You won’t receive a ‘margin call’ from your broker or be asked to add funds to your brokerage account to avoid the forced liquidation of your positions if you use the limited risk investment plans in the Chuck Hughes GPS, the Chuck Hughes MVP, the Chuck Hughes Advisory, and the Chuck Hughes Wealth Creation Alliance.
Limited Risk Strategies
Strategy
GPS Call and Put Option Purchases
GPS Call and Put Option Spreads
GPS Bearish ETF Fund Purchase
GPS Covered Calls
High Risk Investments
● The investments listed in the table that follows are what I categorize as ‘high risk’ investments because you can lose more than your initial investment.
● An adverse market move could wipe out your initial investment and could trigger a margin call that would require you to add funds to your account.
● You would be legally liable to pay back any and all losses that are sustained in your brokerage account. It only takes one unexpected overnight world event to wipe out a highly leveraged trading account. Chuck Hughes options avoid this type of investment due to the high risk. Chuck Hughes options, Chuck Hughes GPS, Chuck Hughes Advisory, Chuck Hughes MVP and the Chuck Hughes Wealth Creation Alliance all look to put risk at a minimum.